MAMO, a cryptocurrency token, experienced a turbulent ride as it crashed shortly after its debut on Coinbase. The token, which had seen a remarkable surge of over 120% in the week leading up to its listing, dropped nearly 20% post-listing.
The sudden drop in MAMO’s price triggered a surge in trading volume, as traders rushed to lock in profits amidst the sell-off. This kind of price action is not uncommon in the volatile cryptocurrency market, especially following a significant rally.
Despite the initial sell-off, there are indications that the selling pressure might ease in the short term. Bullish investors could view the price dip as a buying opportunity, leading to a potential trend reversal. At the time of writing, MAMO was showing signs of recovering from its intraday low.
Several factors suggest a potential rebound for MAMO. The token recently secured listings on two major exchanges, Coinbase and CoinEx, which could increase its accessibility and credibility among investors. Additionally, on-chain data indicates strong whale accumulation, with large holders increasing their MAMO balances over the past seven days.
Moreover, the supply of MAMO on exchanges has decreased, signaling a shift of tokens into long-term storage and reducing sell-side liquidity. This, coupled with rising demand, could create upward price pressure and support a continued recovery for MAMO.
From a technical analysis perspective, MAMO remains above key moving averages on the daily chart, indicating bullish momentum. The MACD indicator also suggests growing bullish momentum, while the Relative Strength Index points to neutral-to-bullish territory.
Looking ahead, a successful bounce from the 78.6% Fibonacci retracement level could propel MAMO towards its previous all-time high. On the flip side, a drop below the 61.8% Fibonacci level could invalidate the bullish setup and lead to further downside potential.
In conclusion, while the recent crash may have spooked some investors, the overall outlook for MAMO remains positive. With strong fundamentals, growing market access, and technical indicators supporting a potential rebound, MAMO could be poised for another breakout in the near future. As always, it’s essential to conduct thorough research and consider your risk tolerance before making any investment decisions.